Homework Answers
Ans d) its cost is allocated over a period of time.
Depreciation is charged over the life of the asset. It is done to allocate the cost of asset over the useful life of the asset.
When depreciation is charged, expense increases due to which earnings of firm decreases and taxes also decrease. Depreciation has no impact on investment.
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When an asset is depreciated, O a. the firm's earnings and taxes are increased. O b....
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